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Beta Real Estate assesses the potential costs due to natural disasters at various properties: No impact: Probability = 0 . 7 0 Minor damage: Probability

Beta Real Estate assesses the potential costs due to natural disasters at various properties:
No impact: Probability =0.70
Minor damage: Probability =0.20, Cost = $100,000
Significant damage: Probability =0.08, Cost = $500,000
Total loss: Probability =0.02, Cost = $2,000,000
Calculate the expected cost of natural disasters for Beta Real Estate this year.
Group of answer choices
$150,000
$90,000
$175,000
$100,000

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